Times Sq. Toys R Us commission causes suit.

Garrick claims it deserves half

Garrick-Aug Associates Store Leasing Inc. is suing owners of the Bowtie building, claiming they should have received a commission for the recent Toys R Us lease deal.

In a complaint filed Oct. 4 in the Supreme Court of New York County, Garrick-Aug, represented by Manhattan attorney Jay Gurfein, claims it entered into a co-brokerage agreement with the building owners and, under provisions of the agreement, the company is entitled to 50 percent of the commission.

"Broadway Realty Co. and Bowtie LLC breached their obligations ... under the co-brokerage agreement by secretly negotiating for space at the property with Toys R Us, without advising the plaintiff of such negotiations," according to the suit.

In what was touted as one of the biggest lease transactions of the year, Toys R Us signed an agreement in August 2000 to open its flagship store in Times Square at 1530 Broadway. The store will occupy more than 100,000 square feet of space. Insignia/ESG, which is not named in the suit, received the commission for the deal.

Defendants named in the lawsuit are 44-45 Broadway Realty Co., Robgood Realty Company L.P., B.S. Moss Criterion Center Corp., Bowtie Management Co. LLC, Charles B. Moss, Jr., Ben Moss and Michael Lack.

Faith Hope Consolo, vice chairman of Garrick-Aug, would not comment on the lawsuit. Building owner Charles Moss, of B.S. Moss Enterprises, could not be reached for comment.

According to the suit, Bowtie entered into negotiations with Toys R Us last April without informing Garrick-Aug.

"Such concealment was part of a scheme in which these defendants fraudulently conspired to eliminate plaintiffs exclusive right to lease the property, cut plaintiff out of the Toys R Us transaction and thus interfere with plaintiffs business opportunity," the suit states.

On May 12, Bowtie LLC faxed a letter to Garrick-Aug referring to a May 9 article in the New York Post, claiming the company had breached the co-brokerage agreement.

"By providing this information to print media without our approval, you have not only breached the co-brokerage agreement with Bowtie Management, but jeopardized ownership's plans for the building as well..." the letter states. "Your continuing breaches of faith, misrepresentations to others and failure to abide by the terms of our written agreement has destroyed our trust in you and consequently our ability to work with you."

In the suit Garrick-Aug claims Bowtie Management used the allegations, which, were false, to force the company to enter into an agreement in which it waived some rights under the co-brokerage agreement in exchange for a $275,000 payment.

Garrick-Aug entered into the agreement without knowing that the building owners were already negotiating- with Toys R Us, the suit claims.